Visteon Corporation v. Global Asset Protection Services, LLC (In re Visteon Corporation), Adv. Proc. No. 11-52070 (Bankr. Del. July 21, 2011) Delaware District of Delaware United States Bankruptcy Judge Christoper S. Sontchi issues an order imposing sanctions against plaintiff’s counsel for the “filing of a grossly deficient” complaint seeking recovery of preferential transfers under Section 547 and constructively fraudulent transfers under section 548(a)(1)(B). In this two page order, Judge Sontchi also (1) denies Defendant’s motion to dismiss, (2) grants leave to Plaintiff to file the First Amended Complaint (which Plaintiff had already filed), and (3) prohibits any further amendments to the complaint. Defendant already had signaled in its reply brief that the First Amended Complaint also is deficient, so the problems for Visteon’s claims against Defendant may not be over.
Articles tagged with: Visteon Corporation
Visteon Corporation Bankruptcy: Visteon Corporation v. Global Asset Protection Services, LLC – Defendant’s Reply to Plaintiff’s Response to Motion to Dismiss
07/14/2011 – Defendant’s Reply to Plaintiff’s Response to Motion to Dismiss filed in the Visteon Corporation Adversary Proceedings by Global Asset Protection Services, LLC before Judge Sontchi in the District of Delaware.
In this rebuttal in support of its motion to dismiss, Defendant Global Asset Protection Services, LLC (“Defendant”) is faced with the daunting tasks of (1) continuing to press for dismissal despite Plaintiff’s post-motion amendment of the original complaint and (2) pressing for a Rule 11 award of attorney’s fees without undertaking the multi-step process required before a party may move for sanctions. It is Defendant’s response on the first of these issues that deserves note.
Visteon Corporation Bankruptcy: Visteon Corporation v. Global Asset Protection Services, LLC – Brief in Response to Global Asset Protection Services, LLCs Motion to Dismiss
The Plaintiff makes quick work of Defendant’s motion to dismiss advising the Court that the motion is moot “since in the interest of avoiding needless expense for the Reorganized Debtor, Visteon has submitted an Amended Complaint that fully addresses Global Asset’s concerns.” The response to the request for Rule 11 sanctions is what makes the brief noteworthy. Registered users click here to see a copy of this brief.
Visteon Corporation Bankruptcy: Visteon Corporation v. Global Asset Protection Services, LLC – Defendant’s Memorandum of Law in Support of Motion to Dismiss
06/23/2011 – Defendant’s Memorandum of Law in Support of Motion to Dismiss filed in the Visteon Corporation Adversary Proceedings by Global Asset Protection Services, LLC before Judge Sontchi in the District of Delaware. This motion to dismiss provides a good treatment of the Delaware Bankruptcy Court decisions addressing the pleading requirements for a Section 547 preference claim. This motion is noteworthy, however, for another reason. It includes a rare request for attorney’s fees under Fed. R. Civ. P. 11(b)(3). Registered users can view the motion by clicking this link.
Visteon Corporation Starts Bankruptcy Preference Adversary Proceedings
On May 20, 2011 , Visteon Corporation in the Visteon Corporation Bankruptcy, commenced Chapter 5 preferential transfer recovery litigation with the filing of Ongoing complaints in the District of Delaware.
Visteon Bankruptcy – Largest Unsecured Bankruptcy Creditors
Visteon Corp. has filed a consolidated list of the 30 largest unsecured creditors of the Visteon Corp. and affiliated Debtors (the “Top Unsercured Creditor List”) in lieu of a separate list for each of the Debtors. The amounts owed to each of the unsecured suppliers is listed as trade debt. Visteon’s list is heavily populated with providers of electronic components and plastic compounds.
Visteon Bankruptcy – First Day Motions
Visteon Corp. has filed 13 first day motions and the Affidavit of Willaim G. Quigley, III, Chief Financial Officer in Support. The motions include one critical vendor motion to authorize payment of certain pre-petition claims of suppliers. (Item 4 Below) The first day motions are:
Visteon Bankruptcy – Debtors and Petitions
Visteon Corporation and 30 affiliated entities (”Debtors”) filed a petitions in Bankruptcy Court for the District of Delaware for relief under chapter 11 of title 11 of the United States Code. Contemporaneously with the filing of their petitions, the Debtors filed a motion requesting that the Court consolidate their chapter 11 cases for administrative purposes only under the Visteon Corporation case number 09-11786. The following are the names, case numbers and copies (as available ) of the bankruptcy petitions.